Cascade: Management and Quality
2. Quality Costs by Category
Prevention Costs
a. Evaluation and Review of Quality Standard
b. Meeting of Departments to review problems
c. Survey to choose the best Supplier
d. Proper Training
e. Semi-anually standard procedures by join departments
f. Better quality of Reports
Appraisal Costs
a. Calibration of measuring and test equipment
b. In-process and final inspection/test
c. Material checking
Failure Costs
A. Internal Failure Costs
a. Scrap
b. Rework
c. Re-callibration
d. Return back the Purchased Material
B. External Failure Costs
a. Customer Returns
b. Product Recalls
3. Why has Cascade run into a quality problem, despite a sizable number of people performing the quality control function?
First, the material's quality is not great according to the Purchase Manager. The many of product returns are also due to the lack of skills of workers. Besides that, the SOP itself hasn't been updated for years.
The SOP also made by the Quality department themselves without any inputs from another departments. Other problem is Quality department only control the output goods and not the in-process.
4. Has the current accounting system helped or hindered the quality efforts?
The current accounting system hindered the quality efforts. From the information on the case, the Cascade's current accounting system cannot show the lack of problems they have in quality area.
5. Write a report outlining how Cascade Seating should shift its quality spending to improve product quality?
Cascade Inc has now been downgraded by GM from preferred supplier to backup supplier. From the analysis we have conducted, there are major problems found:
a. Lack of skills of Workers
b. Lack of cooperation inter-departments
c. Not-current SOP
d. Decreased in Material
So, in order to improve our products we need to do several things :
1. Give more budget to educate workers
2. Buy better material although it'll cost more
3. Produce better and
Prevention Costs
a. Evaluation and Review of Quality Standard
b. Meeting of Departments to review problems
c. Survey to choose the best Supplier
d. Proper Training
e. Semi-anually standard procedures by join departments
f. Better quality of Reports
Appraisal Costs
a. Calibration of measuring and test equipment
b. In-process and final inspection/test
c. Material checking
Failure Costs
A. Internal Failure Costs
a. Scrap
b. Rework
c. Re-callibration
d. Return back the Purchased Material
B. External Failure Costs
a. Customer Returns
b. Product Recalls
3. Why has Cascade run into a quality problem, despite a sizable number of people performing the quality control function?
First, the material's quality is not great according to the Purchase Manager. The many of product returns are also due to the lack of skills of workers. Besides that, the SOP itself hasn't been updated for years.
The SOP also made by the Quality department themselves without any inputs from another departments. Other problem is Quality department only control the output goods and not the in-process.
4. Has the current accounting system helped or hindered the quality efforts?
The current accounting system hindered the quality efforts. From the information on the case, the Cascade's current accounting system cannot show the lack of problems they have in quality area.
5. Write a report outlining how Cascade Seating should shift its quality spending to improve product quality?
Cascade Inc has now been downgraded by GM from preferred supplier to backup supplier. From the analysis we have conducted, there are major problems found:
a. Lack of skills of Workers
b. Lack of cooperation inter-departments
c. Not-current SOP
d. Decreased in Material
So, in order to improve our products we need to do several things :
1. Give more budget to educate workers
2. Buy better material although it'll cost more
3. Produce better and